SteelWatch

Nippon Steel completes coal mine acquisition, undermining decarbonisation target

Ensham coal mine
Credit: Lock the Gate Alliance from Australia

Tokyo, March 31, 2025 – Japan’s largest steelmaker, Nippon Steel, has announced that it has officially completed its acquisition of a 20% stake in Whitehaven Coal’s Blackwater coal mine in Queensland, Australia. This investment follows the plan the company announced in August 2024 and was carried out through its wholly-owned subsidiary, Nippon Steel Australia Pty Ltd.

This decision clearly contradicts the company’s stated goal of achieving carbon neutrality by 2050. SteelWatch had initially raised concerns back in August 2024 when Nippon Steel announced its plans to invest in the coal mine. By moving forward with the formal acquisition, the company is showing a lack of commitment to a responsible, long-term transition away from coal-based steelmaking.

Roger Smith, Asia Lead at SteelWatch, says:

“Coal usage remains the major source of emissions in the steel sector and new investments in coal mines are incompatible with decarbonisation. Nippon Steel should respond to the tightening of international regulations and rising customer demand to decarbonise supply chains by ending new investments in coal assets and beginning a phase out of coal. 

SteelWatch calls on Nippon Steel to change course and accelerate investment in truly 1.5C-aligned pathways, including steelmaking processes using green hydrogen derived from renewable energy. As the climate crisis intensifies, the responsibility of one of the world’s leading steelmakers is being put to the test.

ENDS

Contact:

Roger Smith, SteelWatch Asia Lead 
[email protected]

Mikiko Ishii, Japan Campaign Officer 
[email protected]
(+81 90 8381 4328)

Notes:

How useful was this article?

For all media queries, please contact [email protected]

Other recent publications